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Chris's avatar

Insightful article. One item I think gets overlooked is Turkey's political economy: they import Chinese (& European) components, cheap Russian energy and re-export goods (mainly to Europe) but overall they have a current account deficit that is balanced with dark money (ratlines of drugs for guns to/from MidEast and Afghanistan, drug and people snuggling to Europe). Their industry is in the "valley of death" stage, where most middle income counties get stuck: low/mid value added, unable to compete on quality with advanced producers but with the two added complexities if not being part of a large trade block and not able to meet economies if scale of China and India. Add to the the demographic tidal wave of young people entering the job market, followed by a subsequent baby-bust (except for the Kurds, another worry) which puts them at risk of growing old before they grow rich. Their imperative is to secure (1) neo-Ottoman control over energy resources in East med and MidEast, and (2) captive markets for commoditized products (as in Libya) to grow their industry, which is being kept price competitive through inflation and lira depreciation. They're in a race against time, trying to make themselves useful to the West so that they don't up like Iraq or Syria themselves (which I think is the more likely outcome).

Walter DuBlanica's avatar

As to turkey expanding into central Asia can easily be countered by sturring up the Kurda whose numbers uin turkey and bordering states is the Same as Turkey.Kurds speak a different language

want to be independent of Turkey. Thrkry forget the Ottoman empirs, it no longer exists.

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